We charge. obviously
The following provides a guide to how obvio charges and should be used as guidance only. Depending on the kind of investment you need there may be nominal dealing fees, but what you see below is normally what you would pay.
By taking the initial charge at the beginning, obvio clients are not normally tied into a term. Of course it is advised that you hold investments for the longer term, 5+ years, but being an overseas worker means your circumstances might be liable to change.
Initial Fee:
This is a one-off charge obvio makes for taking you through and designing your Lifestyle Financial Plan. It covers all areas of Administration, Compliance, Behavioural Risk Questionnaires as well as full implementation, portal creation and reporting. Once you move ahead with obvio you can be assured of a hassle free and quick application process. To see how much it might cost to open your account, please use our calculator below.
Exit Charge:
None, you are normally free to leave whenever you want to with no penalties unless you have explicitly agreed that you would like that kind of policy.
Fund Charges:
These are the charges fund managers make for looking after your investments. obvio prefers to use passive investments such as ETF’s so you benefit from being actively invested but without the hefty costs often associated with Active Fund Managers. Fund charges range from 0.05% through to 0.60% and all charges are clean with no commissions or trail income for obvio. You can of course choose any investment you prefer if you are not happy with our proposal, obvio will normally be able to obtain you better prices as a result of our institutional status.
Life Planner Fee:
obvio looks after you wherever you are in the world and reviews your Lifestyle Plan every six months, or when you need us to, depending on your situation. You will be presented with a Service Level Agreement which clearly outlines everything you can expect from obvio and, if there is any additional service you would like then we can talk it through. obvio normally charges 1% on the value of the savings we are looking after for you and this will cover all reasonable administrative and reporting costs for your Plan.
Platform Charges:
obvio uses the best international wealth platforms available so that clients have direct access to their valuations and account status at the touch of a button. The Platforms are normally held within UK territories for added security, although Ireland and Luxembourg may be considered suitable for some circumstances. Platform charges vary but are normally 0.40% per annum based on the value of your investments. obvio receives no commission, fees or income, nor subjects itself to incentives for using a particular platform. It is whatever is suitable for the client at that time.
Trading Costs:
obvio clients would not ordinarily pay Trading Fees. Trading Fees are normally incurred if we have specifically employed an Investment or Discretionary Fund Manager to look after your account. In that event the charges vary from £7.50 to £12.50 per trade. obvio receives no commission from Trading Charges and trades are only undertaken when there is a good argument that any switch would provide value for the Client.
A common option for International Workers is to opt for what is known as an Offshore Investment Bond or Wrapper. Using these vehicles you wouldn’t normally pay an Initial Fee but you should always pay a Planner Fee; if you’re not paying a Planner Fee then there may well be some hidden costs within your savings.
In the case of a Wrapper, the Planner will receive a Commission from the Life Company and in return, you may not realise it, but you normally commit to holding your investment for a set period of time. If you leave early then there may be Exit Penalties applied. Wrappers can be good for specific tax planning purposes but can often be used to excess in the international market and in some cases inappropriately.
If, for any reason you need a Wrapper, obvio can help provide one but will rebate all commission to you. We don’t want it. That way all our clients know the only reason we would recommend an Offshore Investment Bond is for their financial planning benefit alone. Any investments held within your Wrapper would also benefit from being a Clean Share Class meaning you have no hidden trail payments to make.
A comparison
We’ve done a quick comparison for you which you can download, this will demonstrate that paying charges when you open your account really pays dividends in later years. Performance is not only better, assuming 6% growth annually, but remember you are not tied in, so you can draw money out along the way as and when you need it.
But obvio does not intend to compete on price, we know you will love our approach to helping you meet life goals and enjoy the refreshing change of knowing what it costs. Book your Discovery Session today and see how obvio can help you.
Our Fees
We charge an Initial Fee and a Planner Fee which means our Clients enjoy, and expect, an unrivalled level of support and expertise. Charges may vary depending on your particular needs but if you tell us how much your looking to save we can give you an idea of the initial and ongoing fees.
| Amount Invested | Charge |
|---|---|
| First £150,000.00 - £150,000.01 | 5% |
| £150,000.01 - £350,000.00 | 4% |
| £350,000.01 - £700,000.00 | 3% |
| £700,000.01 - £1m | 2% |
| £1m + | 1% |
